Hardy & Anor v Hoade & Ors, Re North Harrow Tennis Club
The club's rules, specifically rules 18 and 19, are to be construed as providing a comprehensive scheme for distribution of assets on dissolution, including where dissolution occurs without a formal resolution. There is an implied term that the net assets are to be distributed in accordance with the length of playing membership, subject to a three-year qualifying period, and excluding those expelled or in default. The qualifying period is three years, not five. Claims of members not meeting the qualifying period or not supported by evidence are rejected.
- Parties
- Claimant: Joyce Irene Hardy; Claimant: Diane Owen; Defendant: David John Hoade; Defendant: Robert Jeffrey Rodgers; Defendant: Roy Henry Peter Rodgers; Defendant: Sandip Patel; Defendant: Katia Mughal; Defendant: Shaff Mughal; Defendant: Arthur Denny; Defendant: John Christopher Sayer; Defendant: Sandra Judith Staples; Defendant: Ann Denise Burditt; Defendant: Amit Ruparelia; Defendant: Thorsten Nilsson; Defendant: Kishan Sangani; Defendant: Alpen Khagram; Defendant: Keith Hardy; Defendant: Raaj Sangani; Defendant: Heather C Hurle; Defendant: Nicholas John Hurle; Defendant: Helen Dolan; Defendant: Anish Ruparelia
- Jurisdiction
- England and Wales
- Judgment Date
- 06 October 2017
- Procedural Posture
- Originating Summons / Trustees' Application / Final Judgment After Trial
- Outcome
- Application granted in part; directions given for distribution of assets; costs order in favour of trustees.
- Legal Topics
- Dissolution of Unincorporated Associations, Distribution of Assets on Dissolution, Interpretation of Club Rules, Implied Contractual Terms, Trustee Indemnity
Case Brief
Summary, issues, holding and outcome
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Parties
Joyce Irene Hardy
Claimant
Diane Owen
Claimant
David John Hoade
Defendant
Robert Jeffrey Rodgers
Defendant
Roy Henry Peter Rodgers
Defendant
Sandip Patel
Defendant
Katia Mughal
Defendant
Shaff Mughal
Defendant
Arthur Denny
Defendant
John Christopher Sayer
Defendant
Sandra Judith Staples
Defendant
Ann Denise Burditt
Defendant
Amit Ruparelia
Defendant
Thorsten Nilsson
Defendant
Kishan Sangani
Defendant
Alpen Khagram
Defendant
Keith Hardy
Defendant
Raaj Sangani
Defendant
Heather C Hurle
Defendant
Nicholas John Hurle
Defendant
Helen Dolan
Defendant
Anish Ruparelia
Defendant
Procedural Posture
Originating Summons / Trustees' Application / Final Judgment After Trial
Legal Issues
- 1 Proper method for distribution of assets of a dissolved unincorporated members' club
- 2 Whether club rules provide a comprehensive scheme for distribution or default to common law
- 3 Whether a term should be implied to cover dissolution without a members' resolution
Ratio Decidendi
The club's rules, specifically rules 18 and 19, are to be construed as providing a comprehensive scheme for distribution of assets on dissolution, including where dissolution occurs without a formal resolution. There is an implied term that the net assets are to be distributed in accordance with the length of playing membership, subject to a three-year qualifying period, and excluding those expelled or in default. The qualifying period is three years, not five. Claims of members not meeting the qualifying period or not supported by evidence are rejected.
Court Disposition
Application granted in part; directions given for distribution of assets; costs order in favour of trustees.
Orders
- Net assets of the club to be distributed among qualifying past and present members in proportion to their length of playing membership, subject to a three-year qualifying period.
- Claims of Katia and Shaff Mughal dismissed for not meeting qualifying period and lack of evidence.
Full Case Text
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